Defines “eligible producer on a farm” as an individual, group of individuals, organization, or corporation who assumes the production and market risks associated with the agricultural production of crops or livestock (Sec. 2).

Limits compensation to eligible producers on a farm to no more than 75 percent of the market value of the applicable livestock on the day before the date of death of the livestock (Sec. 2).

Requires the Secretary of Agriculture to provide the lesser of the following compensation for 1 month to eligible livestock producers for grazing losses that resulted from a drought condition (Sec. 2):

60 percent of the monthly feed cost for all covered livestock owned or leased by the producer; or

60 percent of the monthly feed cost calculated by using the normal carrying capacity of the eligible grazing land of the producer.

Defines “eligible livestock producer” as an eligible producer on a farm who owns or is a contract grower of covered livestock and provides the pasture or grazing land, including cash-leased land, for the covered livestock that is physically located in a county affected by drought (Sec. 2).

Requires the Secretary of Agriculture to provide compensation to eligible livestock producers for grazing losses that resulted from fire on publicly managed land equal to 50 percent of the monthly feed cost for the total number of livestock covered by the Federal lease of the eligible livestock producer (Sec. 2).

Limits the period for which eligible livestock producers can receive compensation for grazing losses that resulted from fire to the following (Sec. 2):

The period starting when the eligible livestock producer is excluded from using the managed rangeland for grazing and ending on the last day of the Federal lease; and

For no more than 180 days per year.

Prohibits an eligible livestock producer from receiving compensation for drought conditions and fire for the same grazing loss (Sec. 2).

Requires the Secretary of Agriculture to provide the following compensation to eligible orchardists and nursery tree growers that lost more than 15 percent of their trees as a result of a natural disaster in an amount equal to (Sec. 2):

70 percent of the cost of replanting the trees or “sufficient” seedlings to replace the stand; and

50 percent of the cost of pruning, removal, and other costs incurred to salvage existing trees or, in the case of tree death, 50 percent of the cost of preparing the land to replant trees.

Authorizes no more than $20 million to be used to provide compensation for eligible producers of livestock, honey bees and fish that are not covered by the provisions of this bill (Sec. 2).

Reduces the appropriation for the Environmental Quality Incentives Program from $1.75 to $1.4 billion for fiscal year 2012-2013 (Sec. 3).